CloudNordic Loses All Customer Data After Ransomware Attack

Danish cloud hosting provider CloudNordic has been impacted by a severe ransomware attack that led to extensive data loss and the potential for bankruptcy. The attack occurred on August 18th, causing significant disruption to the company's operations. The incident has left its systems in disarray and rendered most customer data unrecoverable.

In a notice to its customers, CloudNordic revealed that cybercriminals had infiltrated its network, installing ransomware that effectively shut down all critical systems. This included websites, email servers, and customer systems, paralyzing the company's operations.

CloudNordic has also stated that they cannot and do not want to meet the attacker’s demands for ransom. The company has engaged its internal teams as well as external experts to assess the extent of the damage and ascertain the possibility of restoring lost data. Unfortunately, these efforts have proven unsuccessful, resulting in a staggering loss of customer data.

The attack's source can be traced back to a series of events involving the relocation of servers to a different data center. During this move, compromised servers were unintentionally integrated into the company’s internal network, inadvertently providing attackers access to administrative and backup systems. This access enabled the attackers to encrypt data on all server disks, including primary and secondary backup systems.

Despite the devastating implications, CloudNordic asserts that no evidence suggests customer data was exfiltrated during the attack. The company stated that the attackers solely gained access to administrative systems, and emphasized that there was no data breach.

In light of the severe data loss, CloudNordic is currently exploring various avenues, including working tirelessly to restore its systems and support its customers. Simultaneously, the company is candid about the possibility of declaring bankruptcy, underscoring the severity of the situation.

The CloudNordic ransomware attack is a stark reminder of the escalating threats posed by cybercriminals to even well-established technology firms. As the company navigates these turbulent waters, its plight underscores the broader vulnerability of businesses in the face of ever-evolving cyber threats.